TRADITIONAL HR

MEASUREMENT
WHAT IS A KPI?
A Key Performance Indicator (KPI) is a metric that measures the
performance of a particular activity or process. The objective is for this to
serve as a reference depending on the process or activity on the basis of the
objective you want to achieve.

Example: The open rate of your newsletter: The % of individuals who open
your newsletter will determine the relevance and quality of the content that
you sent. Monitoring the open rate of each newsletter you send can help you
evaluate the effectiveness of your posts depending on the goal you want to
achieve.

CHARACTERISTICS OF A KPI
 Concrete: The KPI should be tangible and it should have a specific goal.
 Mesurable: If you can0t measure the KPI, it isn’t a KPI.
 Reachable: Stay realistic when defining KPI that will determine your
success.
 Relevant: Monitor only the things that really matter, don’t waste time
with indicators that do not contribute anything to your company.
THE MOST IMPORTANT KPIS IN
HUMAN RESOURCES
 Retention of talent
The retention of talent is a KPI that indicates the job stability of a
company. This allows you to learn about the average employee retention
in the company and it is linked to other factors such as the remuneration
or the labor climate. In addition to the cost of losing an employee, the
loss of talent will force you to spend time and money to recruit a new
individual. An index of high staff turnover implies high costs for the
employer. The rate of retention of talent is calculated by comparing the
number of workers who joined the company in a specific period vs. those
who stayed during the same period.
 Duration in the position
Many employees losses are closely related to the time that they keep in
the same position. If they feel they won’t be promoted, many employees
tend to look for new opportunities outside of the company. You can
calculate the average time it takes for an employee to ascend by counting
the number of months it takes each employee with the same charge and
dividing the result by the total number of employees in the company.
 Absenteeism
This indicator measures the absences of employees due to delays, sick
leave or excused or unexcused absences. This indicator can help predict
the numbers you could be expecting. Based on the average value of the
 hour worked the impact of absenteeism in the company’s costs can be
quantified.
 Average time for recruitment
This measures the time between the announcement of an employee who
is leaving the company and another candidate is chosen and selected to
replace him. It is possible to optimize the average time of each new
hiring but be careful, many factors may be included here.
 Education and training
Courses for employees has a direct impact on the company activity. This
KPI is meant to help boost the productivity levels of each employee by
creating specific strategies to increase loyalty and satisfaction levels that
employees feel when working with the company.
 Average time to achieve goals
This KPI is going to measure the efficiency of your workforce to see how
long it takes for them to accomplish certain tasks and goals that have
been set for their position in the company.
 Accidents in the workplace
Being able to measure the number of accidents in the workplace is going
to be extremely important and useful in order to avoid future issues.